|TEPPCO Conducts Initial Assessment of Operations Following Hurricane Ike; Reports No Significant Damage at Most Facilities|
HOUSTON--(BUSINESS WIRE)--Sept. 14, 2008--TEPPCO Partners, L.P. (NYSE:TPP) today announced that initial aerial and ground inspections of its Gulf Coast facilities indicate no major visible damage at most of its facilities following Hurricane Ike, and that the loss of commercial power remains the most significant challenge to resuming normal operations. In addition, the partnership's headquarters in downtown Houston did not sustain any noteworthy effects from the storm.
TEPPCO's marine dock at Freeport, Texas, the origination point for the 30-inch diameter Seaway crude oil pipeline to Cushing, Oklahoma, sustained minimal impact and is currently operating on generator power. The partnership's nearby Jones Creek storage terminal was not damaged and is presently operating on purchased power. Pending the results of more detailed inspection of the tanks and infrastructure, the Seaway pipeline is expected to return to operation as early as Monday, September 15 and will be ready to accommodate crude oil vessels as soon as the port reopens.
In Texas City, Texas, high water damaged electrical equipment at TEPPCO's dock facilities, while the tank farm and pump station were not substantially affected. The Texas City facilities are awaiting the restoration of commercial power.
TEPPCO's refined products terminals in Baytown and Beaumont, Texas experienced no significant damage from Hurricane Ike, but are currently without electricity, causing service to be interrupted on the 20-inch and 14-inch products pipelines. Pending the restoration of commercial power, TEPPCO is installing generators that will help expedite the flow of products, including gasoline and diesel.
The Chaparral pipeline, which delivers natural gas liquids to the fractionation and storage complex in Mont Belvieu, Texas, is operational.
TEPPCO Partners, L.P., a publicly traded partnership with an enterprise value of approximately $5 billion, is a diversified energy logistics company with operations that span much of the continental United States. TEPPCO owns and operates an extensive network of assets that facilitate the movement, marketing, gathering and storage of various commodities and energy-related products. The partnership's midstream network is comprised of approximately 12,500 miles of pipelines that gather and transport refined petroleum products, crude oil, natural gas, liquefied petroleum gases (LPGs) and natural gas liquids, including one of the largest common carrier pipelines for refined petroleum products and LPGs in the United States. TEPPCO's storage assets include approximately 27 million barrels of capacity for refined petroleum products and LPGs and about 14 million barrels of capacity for crude oil. TEPPCO also owns a marine business that transports refined petroleum products, crude oil and lube products via tow boats and tank barges that operate primarily on the United States inland and Intracoastal Waterway systems, and in the Gulf of Mexico. For more information, visit TEPPCO's website. Texas Eastern Products Pipeline Company, LLC, the general partner of TEPPCO Partners, L.P., is owned by Enterprise GP Holdings (NYSE:EPE).
This news release includes forward-looking statements. Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements that involve certain risks and uncertainties, such as the partnership's expectations regarding the resumption of operations. These risks and uncertainties include, among other things, insufficient cash from operations, market conditions, governmental regulations and factors discussed in TEPPCO Partners, L.P.'s filings with the Securities and Exchange Commission. If any of these risks or uncertainties materializes, or should underlying assumptions prove incorrect, actual results or outcomes may vary materially from those expected. The partnership disclaims any intention or obligation to update publicly or reverse such statements, whether as a result of new information, future events or otherwise.
CONTACT: TEPPCO Partners, L.P.